Bhutan is a key partner for Indian agricultural exports, benefiting from a duty-free trade agreement that facilitates the exchange of essential commodities.
The recent exemption of 23 agricultural commodities from export restrictions to Bhutan, effective October 2025, is expected to strengthen trade relations and ensure a steady supply of essential goods. ([ruralscm.com](https://ruralscm.com/insights/dgft-bhutan-exemption-2025/?utm_source=openai)) This policy shift is anticipated to bolster India's agricultural exports to Bhutan in the near term.
Competes with India in supplying rice to Bhutan, offering competitive pricing and quality.
Supplies edible oils to Bhutan, often at lower prices due to subsidies.
Exports onions to Bhutan, sometimes at lower prices, affecting India's market share.
| HS code | Product | Duty | Notes |
|---|---|---|---|
| 1006 1010 | Non-Basmati Rice | 0% | Under the India-Bhutan Trade Agreement, non-Basmati rice exports to Bhutan are exempt from duties. |
| 1507 1000 | Soybean Oil | 0% | Edible oils, including soybean oil, are exempt from export restrictions to Bhutan as per the recent DGFT notification. |
| 0703 1000 | Onions | 0% | Onions are exempt from export restrictions to Bhutan, facilitating smoother trade. |
Details the transaction between buyer and seller, including product descriptions and prices.
Provides information on the contents of each package, aiding in customs clearance.
Serves as a receipt for goods and a contract for transportation.
Certifies the country of origin of the goods, necessary for customs procedures.
Ensures that the agricultural products meet Bhutan's health and safety standards.
Confirms that the goods have been treated to eliminate pests, as per Bhutan's import regulations.
The Jaigaon-Phuentsholing land border is the primary route for trade, with well-established customs procedures.
| Product | India mandi rate | Bhutan landed price | Margin |
|---|---|---|---|
| Non-Basmati Rice | $300 per ton | $320 per ton | $20 per ton |
| Soybean Oil | $800 per ton | $850 per ton | $50 per ton |
| Onions | $400 per ton | $420 per ton | $20 per ton |
The Trade Union matches you with verified buyers and handles the documentation.